Many Hands Make Light Work

Only five years ago, the Donji Miholjac area, located in eastern Croatia along the Hungarian border, suffered from high unemployment and a poor entrepreneurial climate. The few businesses registered struggled to survive and find their place on the market.

Today Donji Miholjac is a bustling agriculture center. This was the result of the local government's efforts to attract new investors through local incentive packages, benefits, and welcomed assistance from USAID sponsored agribusiness development projects.

While the local government provided institutional support to entrepreneurs (establishment of industrial zones, direct investment promotion, professional assistance to potential investors, etc.), USAID helped local companies to become more competitive on today's fast changing market.

For example, USAID assistance helped PZ Matijevi ć , a cooperative that supplies fresh fruit and vegetables to one of Croatia 's largest retail chains, to expand their business and become a recognizable brand on both domestic and foreign markets. Assistance included advice on the design of new facilities, the use of improved technology and production.

PZ Matijević increased their production by 70% in 2006. During this same period, the cooperative increased the number of employees from 6 to 25 and the number of contracted farmers grew from 60 to 280.

This impressive growth was the result of hard work and dedication from the organization's management; support from the local government; and USAID assistance.

The results of these joint efforts can now be seen throughout the region. More than 100 new jobs have been created and the unemployment is falling for the first time in the five years.

Story provided by: DAI

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